The Role of Trade Flows in Shaping Macroeconomic Indicators: A Big Data Approach for Albania

by Jora BANDA, Iges BANDA

Abstract
Purpose: This study aims to examine whether trade openness has a measurable influence on economic performance within the context of an emerging economy. Utilizing a Big Data approach, the research highlights the potential of programmatically accessing global datasets for comprehensive country-specific analyses to better understand the complex dynamics between trade and macroeconomic variables.
Design/methodology/approach: By employing a quantitative research design, the study investigates the influence of trade flows on key macroeconomic variables such as GDP growth, unemployment, and inflation in Albania from 2000 to 2023. Data retrieved from the World Bank is programmatically arranged, cleaned, and consolidated into a comprehensive dataset by using correlation matrices, scatter plot charts, and OLS regression to ascertain the impact of trade flows on GDP growth.
Findings: The findings suggest that during the selected period, trade flows had minimal statistically significant effects on GDP growth, whereas the correlation with unemployment and inflation was also weak. Time series charts demonstrate certain fluctuations in trade and economic indicators, pointing to the complicated nature of macroeconomic dynamics.
Research limitations/implications: The study focuses only on Albania; hence, future studies can investigate more countries, or alternative methods could be applied for a deeper understanding.
Originality/value: By implementing a Big Data approach to investigate trade-macroeconomic interactions in Albania, this study contributes to the literature, thus providing new insights into emerging economies through the programmatic collection, cleaning, and integration of global datasets for rigorous analysis.

Keywords: Trade Flow, Macroeconomic Indicators, Big Data, Emerging Economy, Datasets